Same facts as preceding question: Number of Shares. A potential investor is seeking to invest $500,000 in our venture, which currently has 2,000,000 million shares held by us founders. We expect our venture to produce one million dollars of net income in year five at which time we want to sell the business. We know that a similar venture with $2,000,000 in net income was sold for $40,000,000.

What is the number of shares that must be issued to the new investor in order for the investor to earn his target return of 40%?

	310,686
	578,138
	1,156,276
	2,156,276